10 Stock market investment tips

1. Invest in good company stocks only. Never invest in rupee or penny stocks.

2. Do research before buying a stock. Never buy stocks based on ‘tips’ by brokers and friends.

3. Read at least one business daily and one business weekly.

4. Try to concentrate on stocks in which you have good knowledge. It is too difficult to follow each and every stock.

5. Don’t believe in wild rumours. Trust the news from famous websites and news channels.

6. Don’t follow the mob. Try to find the value stocks based on the intrinsic value of a company.

7. Never invest in shares of uncertain businesses like real estate.

8. Discuss about shares in money control.com message boards and Google and Yahoo groups to improve the knowledge.

9. Watch CNBC and NDTV Profit regularly.

10. Never forget to set stop loss price. It will minimize the losses in case of market crashes.

Analyse the stocks, find the good companies, enter into the stock at appropriate time (price), set the target and never change it.

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